New South Wales taxi drivers who've lost business to Uber and other ride-sharing services are eligible for $20,000 compensation grants from the state government. The government has now invited the eligible taxi drivers to apply for these compensation grants.
The $250 million industry transition package, described by Transport Minister Andrew Constance as one of the most generous in the world, invites taxi drivers to apply for up-front payments of $20,000 for up to two licences.
A $1 levy on all taxi and rideshare trips will pay for $100m of the compensation package, which also has $142 million set aside for hardship claims.
An estimated 4000 taxi owners who own perpetual taxi licenses are expected to receive the compensation grants. Owners of multiple licenses can receive a maximum of $40,000.
The assistance includes:
- $98 million for payments of $20,000 per ordinary and transferable licence, for up to two licences, for licences held before 1 July 2015;
- $142 million for taxi licensees facing hardship as a result of the changes; and
- Up to $10 million for a buy-back scheme for perpetual hire car licensees.
The transport department in a statement said: "The NSW Government will write to more than 4,000 eligible licence holders telling them how to apply, and will process each application as quickly as possible."
There are Ridesharing service UberX was legalised in NSW in December last year.
